The recent rumoured takeover bid of newspaper publisher Trinity Mirror PLC by private equity group CVC Capital Partners, looks unlikely because of Trinity’s strong share price.
Trinity’s prospects however, have been dragged down with the demise of red-top newspaper sales, with circulation of the group’s flag-ship title,The Daily Mirror,hitting an all time low last month, dropping to 1.7 million.
Private equity groups, Apax, Candover Investments, Cinven and 3i have all looked at the group, in particular its regional papers, in view of possible takeovers.
Sly Bailey, chief executive for Trinity Mirror, is likely to oppose any takeover approach, after allegedly rebuffing a second takeover from private equity house Candover Investments early this year.
Neither CVC Capital or Trinity Mirror have commented on the claims.